Study Guide for Come Into My Trading Room - Forex Factory

146 CASE STUDIES
Technical analysis is partly a science and partly an art—partly objective
and partly subjective. There are two main approaches to using it in
trading—systematic and discretionary. Systematic traders test and automate
every step. Discretionary traders change their tools as markets
evolve. If you are a systematic trader, you will test all the tools and
apply them in an absolutely uniform manner. As a discretionary trader,
I adjust my tools and every once in a while try to anticipate indicator
signals. The trick is to anticipate them ever so slightly, without going too
far out on a limb, and use the protection of money management.
Intelligent traders may disagree about trading signals. This is why a
professional trader is unlikely to get a perfect score on these tests. He
will bring his personality into the picture and interpret markets slightly
differently. Show me an experienced trader with independent judgment,
good records, and solid money management, and I will show
you a winner. What if you see some charts in a different light than I do?
I fear an avalanche of e-mails with questions, and not enough hours
in the day to answer all. The only place where we can butt heads and
argue about trades late into the night is in Traders’ Camps. Bring in your
differences, and we will resolve them. Just be sure to keep good records
of your decisions. Now, let’s go look for trades!